SOLICITOR John King has been taking a look at how leaving the EU will hit commercial contracts.

Mr King, a commercial partner at town centre-based FDR Law, said now is a good time to start looking at contracts as Article 50 is set to be triggered next week.

“The UK leaving the EU may well affect the operation of existing contracts, possibly in a manner that the parties had not foreseen or planned for at the time of entering into the contract,” he said.

“Short term contracts are less likely to be affected by the UK leaving the EU due to the two year negotiating window that will start once Article 50 is invoked. This negotiating period should give both parties time to consider how the terms of Brexit might affect their longer term contractual arrangements and give rise to re-negotiation.

“Before entering into any new contracts with corporates in other EU member states, careful consideration should be given to these areas if the contract is likely to continue post Brexit, and you should seek to provide provisions in the contract.

“The greatest economic impact is being felt by businesses bringing in materials from abroad.

“If any of your key contracts are likely to be affected by Brexit, you could consider seeking to negotiate amendments to terms that are materially affected.”